Small banks have long led the campaign against industrial loan companies, arguing they can be used to violate the separation of banking and commerce. But now the industry’s heavyweights are also taking a hard line in response to an FDIC proposal that would ... Read full article
The investment firm is the latest nonbank to try to enter banking through a Utah-based ILC. ... Read full article
Three banking trade associations told the FDIC that Rakuten Bank America, even after revisions to its earlier application to the agency, would still violate the separation of banking and commerce as well as present consumer privacy concerns. ... Read full article
Recent steps that would help nonbank lenders enter the traditional banking system, like a proposal clarifying the industrial loan company charter, are needed but face strong opposition. ... Read full article
The Japanese e-commerce giant is taking another run at a U.S. banking charter after receiving feedback from the Federal Deposit Insurance Corp. about its initial application, which was withdrawn earlier this year. ... Read full article
The company's plan had drawn strong criticism from bankers about Rakuten's potentially controlling an industrial loan company while engaging in its non-financial businesses. ... Read full article
In signing off on deposit insurance for the payments giant and student loan servicer, the FDIC sanctioned the first new industrial loan companies in over a decade. ... Read full article
On the same day the Federal Deposit Insurance Corp. said it will soon rule on two applications, the agency also proposed benchmarks for all firms that want to own industrial loan companies. ... Read full article
GreatAmerica Financial in Iowa is looking to form a bank so it can offer more products to small and midsize companies. ... Read full article
A decision by regulators on how to move forward with the controversial charter could have broad implications for fintech firms that want to enter the banking system. ... Read full article
Wells Fargo appears to be outpacing its rivals in the API race; CFPB's unexpected showdown with Citizens; Varo gets vital FDIC OK for bank charter; and more from this week's most-read stories. ... Read full article
Congress should further expand a tiered regulatory system to help community banks better serve local neighborhoods. ... Read full article
The agency released two new manual supplements and other materials to help nonbanks and its own staff better understand application procedures. ... Read full article
The agency released two new manual supplements and other materials to help nonbanks and its own staff better understand application procedures. ... Read full article
Gavin Newsom's proposal to create a consumer watchdog modeled after the CFPB includes a provision that would make it easier for upstart financial firms to obtain industrial loan charters. ... Read full article
The Rakuten application has piqued interest in reviving legislation aimed at stopping commercial firms from owning banks. Yet Congress previously had the chance to enact such a measure and declined. ... Read full article
A day after House Democrats urged the banking agencies to unite behind a joint plan to update the Community Reinvestment Act, Senate Democrats worried that an impending proposal from the OCC and FDIC will reduce access to credit. ... Read full article
Her comments signaled cooperation between the two agencies on a coming proposal to revamp the Community Reinvestment Act, but she raised questions about CRA assessment areas and developing a single compliance metric. ... Read full article
Sen. John Kennedy, R-La., has proposed a bill to bar companies such as Rakuten from using industrial loan companies to access the banking system. ... Read full article
More details have surfaced about Interactive Brokers' planned bank. It would accept deposits and originate loans through an online channel only, its application says. ... Read full article
